Goldfields Lithium Alliance(GliA)

CAZ: 50% /  LIT: 50%

Cazaly and Lithium Australia Limited (ASX: LIT) have an agreement to combine their respective holdings for the exploration and development of Pegmatite Minerals including lithium minerals in the Goldfields region of Western Australia (the Goldfields Lithium Alliance or “GLiA”).

The agreement includes offers the Alliance rights to pegmatite minerals over any existing or additional ground secured within a 100km radius of Kalgoorlie for an initial period of 5 years.

The Alliance includes LIT’s rights to the Coolgardie Rare Metals Venture (CRMV). The CRMV is a LIT initiative with Focus Minerals Limited (ASX: FML) and includes the historic lithium production centres of the Lepidolite Hill and Tantalite Hill mines.

Under LIT’s terms of its agreement with FML, LIT has the rights to all metals derived from pegmatites on the property and will free-carry FML a 20% interest until a decision is made to commit to feasibility.

Under the Alliance agreement CAZ will not be liable for any costs associated with metallurgical testwork or feasibility studies for the CRMV which are to be borne solely by LIT

Previously LIT announced the commencement of pilot plant testing at ANSTO Minerals (a division of the Australian Nuclear Science and Technology Organisation) Lucas Heights testing facility utilising approximately 650kg of lepidolite ore from Lepidolite Hill. The pilot plant consisted of leaching and impurity removal circuits. The design was based on test work conducted by ANSTO Minerals on similar ore to that processed during the continuous pilot plant run. The campaign produced a purified lithium-containing liquor, devoid of impurities.

Further operations undertaken demonstrated the production of battery grade lithium carbonate. The lithium carbonate feed was produced by Lithium Australia’s Sileach™ pilot plant. The refinement of the lithium carbonate produced during piloting was undertaken using a bicarbonate–carbonate re-precipitation approach, widely adopted in the lithium chemicals industry. The quality of the lithium carbonate meets or exceeds the specification of battery grade lithium carbonate produced by one of the world’s largest suppliers of lithium chemicals, FMC Lithium.

The ore was not subjected to pre-concentration with minimal feed preparation, which are key parameters for processing at low cost and bodes well for the potential economic extraction of lithium from the Alliance projects.